Ministry of Public Finance (MFP) is proposing a second budget revision this year, “taking into account the increase per balance of the consolidated budget revenues by RON 306 million and the expenditure of the general consolidated budget by RON 306 million as well”, a press release informs.
Budget revision is also based on “keeping the budget deficit target at 2.8 percent of GDP in cash terms, 2.95 percent respectively of GDP according to ESA methodology.”
Analysis of the budget results during January 1 – September 30, 2016 “shows a deficit of RON 3.7 billion, 0.49 percent of GDP,” MFP notes.
Budget rectification took into account the redistribution of some funds that can not be spent until the end of 2016, to ensure funding the ongoing programs.
The priority areas in this budget revision are “health, investments, direct payments in agriculture and supporting projects and policies in education and social assistance, funded by the local public administration, such as the ‘Hot meal’ pilot-program, supporting child protection system or ‘Fruits in schools’ program.
Commitment appropriations amounting to RON 2.21 billion were allocated to Ministry of Health, in the budget of the National Health Insurance House (CNAS), to conclude new cost-volume-outcome contracts for chronic hepatitis therapeutic areas.
For Local Development National Program from the Ministry of Regional Development, RON 1.25 billion have been secured covering until year-end the required payments of school and roads infrastructure development projects. Other RON 47.9 million was reallocated to finance the ‘Integrated rehabilitation of water and sewer systems, drinking water treatment and wastewater treatment plants in localities with populations up to 50,000 people’ Loan Agreement.
RON 1.09 billion was allocated to the Ministry of Agriculture for final payments related to the direct payment schemes for agricultural campaign in 2016. The ministry also redistributed from own budget RON 85.7 million for the payment of subsidies in agriculture.